I got a new MLS listing passed on to me by my agent. There's some things I recognize and some things I don't. I thought it might be informative to parse out some listing information. I'd imagine some people might have the same questions I do. I'm not specifically even looking to buy this property, but there was some interesting language that I haven't all seen before...
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Public:Most all of the copper has been removed and the heater is missing some parts. Solid house and a quiet block.This is a Department of Housing and Urban Development property Case number 071-098126. Home is being sold "AS IS", Property is (UN)UNINSURED FOR FHA financing in its "as-is" condition. All offers will need to include a Lenders written letter or proof of funds, which include the case # & address. All lenders should be willing to lend on an "AS-IS" condition. Buyers representative will need to be present for all showings & inspections. All property information including "property condition report" are available on the web. Municipalities requiring Use & Occupancy are at buyers expense. Buyers representative to obtain City Certs. Transaction will need to close within 45 days for Owner Occupants and 30 days for Investors. Equal Housing Opportunity Property. A prequalification letter is required prior to negotiations and must be provided by a designated lender. Prequalification from any other source must include, but is not limited to: review of a credit bureau report for credit worthiness, review of bank statements for verification of sufficient funds required for down payment and closing costs, review of most recent pay check stubs for year-to date income verification, and maximum loan qualification based on monthly income to debt ratios. Selling broker must have an NAID #.
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1. I'm guessing this means that the copper has been stolen from the property and a buyer would need to do a thorough check for this. Has anybody here bought a property under these conditions? What are things to make sure you check?
2. This is a HUD property, which is also why the property is as-is. So I would have to do any inspection on my own, correct? Also, I believe this means that a buyer could not write an inspection clause into the contract, it must be waved?
3. "Buyers representative" doesn't necessarily mean "buyer", correct? For example, if one partner was out of state and the other was present, that partner could still be there? What if it's a cash buy, does this change anything?
4. A prequalification letter would be needed if you were financing the deal, but not necessarily a cash buy? (That's the language about "prequalification from any other source..." right?)
5. What is an NAID #?
A lot of this seems related to HUD properties. I haven't done a deal from there before. Is this all standard language for a HUD property or is there anything else that might pop up.
Thanks!
